Sectors such as automobiles, FMCG, pharmaceuticals, cement and organised retail are likely to outperform in fiscal 2017. Large steel players are also likely to do better because of a pick-up in global steel prices and reduction in imports.ETAuto | April 11, 2016, 17:02 IST

The research further states that if monsoon is adequate and well-distributed after two successive failures, it will set stage for a promising fiscal 2017 where revenue growth could pick up on broad-based demand recovery.

However, it is unlikely to touch double digits and would more likely be 8 percent, or twice the 3-4 percent expected in fiscal 2016.

Net profit growth is expected to accelerate and be in the range of 12-15 percent owing to higher topline growth, improvement in Ebitda margin, subdued working capital requirement, and lower interest cost.

Ajay Srinivasan, Director, Crisil Research, said, “Auto component makers with domestic market focus should do well, but those serving markets abroad are likely to report poor numbers as orders from the trucks segment in North America have declined substantially.”